Welcome!

News Feed Item

Sattva Capital Announces Supreme Court Victory

Canada's top court determines reasonableness as the standard of review and tightens standards on granting leave to appeal of commercial arbitration awards.

VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 08/01/14 -- Sattva Capital is pleased to announce the Supreme Court of Canada in a 7-0 decision has upheld the arbitrator's breach-of-contract damage award against Creston Moly, a subsidiary of Mercator Minerals.

Written by Mr. Justice Marshall Rothstein, the ruling from Canada's top court overturns two judgements from Court of Appeal for BC (BCCA), British Columbia's highest court. The first granted Creston leave to appeal on the basis of a non-existent error of law. The second compounded the previous error by ruling itself and the court below (the Supreme Court of BC) ought to be bound by the comments of the judges from the previous leave ruling.

Both judgements were fundamentally flawed. If left unchallenged, they would have set troubling precedents, unleashing a flood of frivolous appeals from arbitral awards, creating a burden on the justice system and at the same time undermining the independence of lower court judges hearing appeals.

The Supreme Court of BC, by contrast, heard Creston's appeal twice and dismissed it as without merit.

"As we have said before, the pie is not finite. Transactions are not zero-sum games," said Hai Van Le, Sattva Capital's Managing Director. "The fee we earned is a direct result of our tremendous efforts and knowledge over the years and the ingenuity in coming up with solutions to seemingly irreconcilable differences. We were the catalyst that made the deal happened in the first place, in the process making the pie bigger for everyone involved. There's enough abundance for everyone. Parties to a transaction have a moral duty to fulfill their obligations to one another in an ethical and honourable manner."

A CLEAR LEGAL FRAMEWORK TO GUIDE JUDGES

With this ruling, Canada's top judges have defined narrow, explicit parameters that those who wish to appeal arbitral awards must meet before they are given leave to appeal. In practical terms, this judgement will reduce the incidence of frivolous appeals, bringing the system more in line with the norms in other Western countries.

"This ruling is a game-changer and will have a positive ripple effect on both Canadian society and the economy," said Mr. Le. "The savings to the taxpayer-funded justice system across the country will be substantial. Our perseverance in the last seven years in the face of unexpected, seemingly insurmountable obstacles imposed by the BCCA has not been in vain."

At the same time, the Court also clarifies the standard of review for judges when reviewing arbitral awards.

The ruling marks a victory for both the Attorney General of BC and the British Columbia International Commercial Arbitration Centre (BCICAC) Foundation which intervened at the Supreme Court hearing. Both parties get the clarity they sought on a number of important issues, namely, reasonableness as the standard of review, and whether contractual interpretation gives rise to questions of mixed fact and law or pure questions of law.

The ruling is also a vindication for the arbitrator - Mr. Leon Getz - an experienced securities lawyer with a history of distinguished service. The Supreme Court finds no flaws with his well thought-out and reasoned award.

And finally, this judgment is a triumph of substance over clever arguments. Wedge issues exploiting a technicality or an ambiguity can only get one so far in the judicial system before they are exposed for what they are - shallow, divisive and ultimately lacking in substance.

ARBITRATION - SPEEDY, EFFICIENT AND FINAL - AS INTENDED BY THE LAW

It's not a surprise that the Canadian public consistently view courts as being too slow, cumbersome - and costly. A justice system permitting the unhappy losing party to mount appeal after appeal based on flimsy narrow grounds is in serious need of reform.

Going forward, Canadian businesses now have two distinct choices to resolve disputes. They can continue to rely on the taxpayer-funded court system with its attendant loss of privacy, lengthy proceedings and multiple appeal steps or they can settle differences through arbitration knowing the outcome is final and binding as intended by the law. Parties who wish to launch a challenge to an unfavourable arbitration decision may still do so, but they will discover that the odds of success are not in their favour. In all likelihood, they won't even get past the initial leave application stage.

"We salute the judges of Canada's top court for their leadership, their foresight, and their progressive approach to making the justice system more accessible and affordable for more Canadians," said Mr. Le.

A chronology of events can be found at www.sattvacapital.net/play-by-the-rules.html.

About Sattva Capital: Sattva Capital is an international financial advisory firm focused on cross-border M&A, strategic partnerships and corporate finance in the mining industry. We leverage global connections, game-changing ideas, and deep industry knowledge to help clients achieve transformational growth.

Contacts:
Media Contact:
Sattva Capital
Hai Van Le
Managing Director
604-998-1425 ext 101
sattva@sattvacapital.net

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
SYS-CON Events announced today that Infranics will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Since 2000, Infranics has developed SysMaster Suite, which is required for the stable and efficient management of ICT infrastructure. The ICT management solution developed and provided by Infranics continues to add intelligence to the ICT infrastructure through the IMC (Infra Management Cycle) based on mathemat...
SYS-CON Events announced today that Loom Systems will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Founded in 2015, Loom Systems delivers an advanced AI solution to predict and prevent problems in the digital business. Loom stands alone in the industry as an AI analysis platform requiring no prior math knowledge from operators, leveraging the existing staff to succeed in the digital era. With offices in ...
Virtualization over the past years has become a key strategy for IT to acquire multi-tenancy, increase utilization, develop elasticity and improve security. And virtual machines (VMs) are quickly becoming a main vehicle for developing and deploying applications. The introduction of containers seems to be bringing another and perhaps overlapped solution for achieving the same above-mentioned benefits. Are a container and a virtual machine fundamentally the same or different? And how? Is one techn...
SYS-CON Events announced today that SoftLayer, an IBM Company, has been named “Gold Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York, New York. SoftLayer, an IBM Company, provides cloud infrastructure as a service from a growing number of data centers and network points of presence around the world. SoftLayer’s customers range from Web startups to global enterprises.
Have you ever noticed how some IT people seem to lead successful, rewarding, and satisfying lives and careers, while others struggle? IT author and speaker Don Crawley uncovered the five principles that successful IT people use to build satisfying lives and careers and he shares them in this fast-paced, thought-provoking webinar. You'll learn the importance of striking a balance with technical skills and people skills, challenge your pre-existing ideas about IT customer service, and gain new in...
"I think that everyone recognizes that for IoT to really realize its full potential and value that it is about creating ecosystems and marketplaces and that no single vendor is able to support what is required," explained Esmeralda Swartz, VP, Marketing Enterprise and Cloud at Ericsson, in this SYS-CON.tv interview at @ThingsExpo, held June 7-9, 2016, at the Javits Center in New York City, NY.
The buzz continues for cloud, data analytics and the Internet of Things (IoT) and their collective impact across all industries. But a new conversation is emerging - how do companies use industry disruption and technology enablers to lead in markets undergoing change, uncertainty and ambiguity? Organizations of all sizes need to evolve and transform, often under massive pressure, as industry lines blur and merge and traditional business models are assaulted and turned upside down. In this new da...
Keeping pace with advancements in software delivery processes and tooling is taxing even for the most proficient organizations. Point tools, platforms, open source and the increasing adoption of private and public cloud services requires strong engineering rigor - all in the face of developer demands to use the tools of choice. As Agile has settled in as a mainstream practice, now DevOps has emerged as the next wave to improve software delivery speed and output. To make DevOps work, organization...
SYS-CON Events announced today that T-Mobile will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. As America's Un-carrier, T-Mobile US, Inc., is redefining the way consumers and businesses buy wireless services through leading product and service innovation. The Company's advanced nationwide 4G LTE network delivers outstanding wireless experiences to 67.4 million customers who are unwilling to compromise on ...
What if you could build a web application that could support true web-scale traffic without having to ever provision or manage a single server? Sounds magical, and it is! In his session at 20th Cloud Expo, Chris Munns, Senior Developer Advocate for Serverless Applications at Amazon Web Services, will show how to build a serverless website that scales automatically using services like AWS Lambda, Amazon API Gateway, and Amazon S3. We will review several frameworks that can help you build serverle...
Deep learning has been very successful in social sciences and specially areas where there is a lot of data. Trading is another field that can be viewed as social science with a lot of data. With the advent of Deep Learning and Big Data technologies for efficient computation, we are finally able to use the same methods in investment management as we would in face recognition or in making chat-bots. In his session at 20th Cloud Expo, Gaurav Chakravorty, co-founder and Head of Strategy Development ...
"Peak 10 is a national cloud data center solutions managed services provider, and part of that is disaster recovery. We see a growing trend in the industry where companies are coming to us looking for assistance in their DR strategy," stated Andrew Cole, Director of Solutions Engineering at Peak 10, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Culture is the most important ingredient of DevOps. The challenge for most organizations is defining and communicating a vision of beneficial DevOps culture for their organizations, and then facilitating the changes needed to achieve that. Often this comes down to an ability to provide true leadership. As a CIO, are your direct reports IT managers or are they IT leaders? The hard truth is that many IT managers have risen through the ranks based on their technical skills, not their leadership abi...
The essence of cloud computing is that all consumable IT resources are delivered as services. In his session at 15th Cloud Expo, Yung Chou, Technology Evangelist at Microsoft, demonstrated the concepts and implementations of two important cloud computing deliveries: Infrastructure as a Service (IaaS) and Platform as a Service (PaaS). He discussed from business and technical viewpoints what exactly they are, why we care, how they are different and in what ways, and the strategies for IT to transi...
Information technology (IT) advances are transforming the way we innovate in business, thereby disrupting the old guard and their predictable status-quo. It’s creating global market turbulence. Industries are converging, and new opportunities and threats are emerging, like never before. So, how are savvy chief information officers (CIOs) leading this transition? Back in 2015, the IBM Institute for Business Value conducted a market study that included the findings from over 1,800 CIO interviews ...